Tag Archives: culture

Some time ago, writing a role description, I added Culture as a Key Result Area (KRA). What is the accountability of a manager in the Key Result Area of Company Culture?

There are several frames in which to look at company culture –That unwritten set of rules that governs our required behavior in the work that we do together. It is an unwritten set of rules in contrast to our written set of rules, policies, procedures. And, culture is often more powerful than any policy we may write or attempt to officially enforce. Sometimes, culture even works against our stated policy.

What is the accountability of a manager in the Key Result Area of Company Culture?

These are the four questions in the Culture Cycle.

What is the source of culture, where does it start?

How is culture visible, how do we see it?

How is culture tested?

How is culture institutionalized, reinforced and perpetuated?

What is the source of culture, where does it start?
The source of culture is the way we see the world. It includes our bias, our experience, our interpretation of our experience. Culture is the story we carry into our experience that provides the lens, the frame, the tint, the brightness or darkness of that story.

How is culture visible, how do we see it?
Culture, the way we see the world, drives our behavior. We cannot see our bias. We cannot see our interpretation. We cannot see the story we carry in our minds, but, we can see our behavior. Culture drives behavior. Behavior makes culture visible.

How is culture tested?
Behavior, driven by culture, is constantly tested against the reality of consequences. For better or worse, behaviors driven by culture are proven valid, or not. Where there is congruence between behavioral intentions and the test of consequences, intentions (the way we see the world) moves forward. Where there is a disconnect between behavioral intentions and the test of consequences, intentional culture stops DEAD.

How is culture institutionalized, reinforced and perpetuated?
Those behaviors that survive the test of consequences become institutionalized, for better or worse. Positive behaviors that survive the test against reality can become the customs and rituals that reinforce the way we see the world. Alternatively, counterproductive behaviors that survive can be institutionalized in the underground of our organization and will prevail, more powerful than our official rules and enforcement.

You get to decide. What is the accountability of a manager in the Key Result Area of Company Culture?

Because I occasionally fly United Airlines, I received an email from Oscar Munoz, CEO at United Airlines that illustrates an often missed step in the culture cycle. Here is what he said in his email, “Earlier this month, we broke that trust when a passenger was forcibly removed from one of our planes. It happened because our corporate policies were placed ahead of our shared values. Our procedures got in the way of our employees doing what they know is right.”

So, here is the culture cycle. Pay close attention to step 3.

We hold beliefs and assumptions, about the way we see the world.

We connect behaviors to those beliefs and assumptions.

We test those behaviors against the reality of consequences.

The behaviors that survive the test become our customs and rituals.

We can say we hold values of integrity, honesty, fairness. We can even define behaviors connected to those beliefs like courtesy, listening, understanding another’s viewpoint. But, somewhere along the line, for the crew on that United Airlines flight, they had learned that NOT following the rules ended in a reprimand. They attempted to displace four passengers for four crew trying to meet a schedule in another city. That was the rule. Had they not followed the rule, they knew there would be hell to pay, a write-up in their employee file, a graveyard shift, a demotion or skipped promotion. They knew that defined behavior of courtesy would never stand up against the reality of consequences.

So, someone got dragged out the door. Based on the settlement with the passenger, it would have been cheaper to purchase four Tesla automobiles for each of the four flight crew and ask them to drive instead of displacing the four passengers.

And right about now, every employee at United Airlines is confused about what to do in spite of what Munoz says.

“Facing the issue of having to work together, in a conscious, cooperative way, takes effort,” I replied. “It doesn’t happen by itself. As the manager, when you push the issue back to the center of the table, there are four predictable responses. The team will go into fight or flight. They will freeze or appease, not necessarily in that order.”

“I just have to outlast the panic,” Miriam remembered.

“To work together, the team has to change its belief about the way it works together. Culture starts with the way we see the world, the way we see our circumstances. Teams that work together have a different mindset. They don’t cooperate (for long) because we tell them to. They support and help each other because they believe that is the way things are done around here. It may not be comfortable at first, but high performing teams not only live with the discomfort, but create rituals to meet adversity head on. I can always tell a team is making progress when they trade in (solve) old problems for a new set of problems.” -Tom

Question:
Tom, I remember a few years ago you talked about the effectiveness of negative vs positive reinforcement to affect changes in employee behavior. Here’s my problem: I am responsible for implementing a CRM sales management system affecting over 100 sales reps and 15 regional sales managers. For 30 years, we’ve allowed our sales reps to act without much direction or accountability. Our market was robust so a salesperson’s day was spent taking care of customers, entertaining them, and knocking off early on Fridays.

Then, our market soured, so did our sales.

Over the years, we became a service oriented company with little focus on sales management. As you would guess, there is strong resentment and resistance to the accountability that a CRM requires–assigning prospects, setting tasks and goals, and required reporting to management.

Here is the feedback so far. “Do you want me to sell or fill out these stupid reports?” OR “I’m no good with computers.” OR “I don’t have time.” OR “This is Big Brother micro-managing me.”

I’m experimenting with gamification of the process, creating competition among territories and recognizing successes. The CEO of the corporation is reviewing weekly scorecards and sending email comments to the sales managers on performance.

Here’s the question. What will have the greatest effect on participation, negative reinforcement or positive reinforcement? Should we tie pay to usage of the system?

Response:
This is not an unusual dilemma. Your idea of gamification takes me back to a post I wrote in Sep 2007 (yes, ten years ago), where we looked at how a young teenager learned to play a complex video game without a training course, instruction materials or a tutor. In fact, despite discouragement from his manager (mom), he still managed to achieve a high level of competence at playing the game, would actually go without food or sleep to play.

So, how could you get a group of veteran, grisly sales people to spend time with a CRM system?

First, to the subject of positive vs negative reinforcement. At best, negative reinforcement only gets you compliance. And compliance only works in the presence of the manager and the constant pressure of the negative reinforcement. If the manager is not present or the probability of enforcement is low, the desired behavior disappears. Most negative reinforcement resides outside the individual with only temporary effect.

To achieve commitment (vs compliance) to the behavior, you have to go inside. You have to look for an intrinsic reinforcement. You have to examine the belief. It is not your rules, not your suggestions, not your tracking tools that drive behavior. It is the belief inside the individual.

And your individuals have spoken their beliefs.
Do you want me to sell or fill out these stupid reports?

The belief is that only selling creates sales, not filling out reports. Filling out reports is a waste of time.

I’m no good with computers.

The belief is that I am good at sales and that I am not good at computers. The belief is that using a computer will not bring in more sales.

I don’t have time.

The belief is that filling out reports in a computer is not as high a priority as anything else.

This is Big Brother micro-managing me.

The belief is that a good salesperson does NOT need coaching. The belief is that tracking activity may surface accountability to a standard defined by someone else.

Ultimately, this is a culture problem. You don’t get the behavior you want (interaction with a CRM system) because you, as the manager, have not connected success (sales) with activity in the CRM system. They don’t believe you.

Culture Cycle

Beliefs.

Connected behaviors.

Connected behaviors tested against the consequences of reality.

Behaviors that survive are repeated in customs and rituals.

You started with a CRM system rather than starting with the team. Your team knows how to make sales, they are experts at it. In a meeting, get them to document the processes and behaviors that create sales. Big flip chart. Here is my prediction – they will create a system similar to most sales systems.

Prospecting

Qualification

Needs assessment (preventing objections)

Connection of needs to your product or service

Customer willing to solve their problem (pay)

Closing

After closing support

These are activities in a sequence that creates customers and orders. These are likely the same activities you are attempting to document in the CRM system. But, now, it is the team that identified the behaviors, not some stupid CRM system.

Next, ask them to coach each other. They may not trust you, but they trust each other. Ask them to document what a coaching process might look like. Ask them what collected data might be helpful to make the coaching more effective.

Teaching is not nearly as effective as learning. Turn this into a learning process, not a teaching process. -Tom

Question:
When you described culture as a Key Result Area, you said the manager should be an effective model for behaviors that support the company’s culture. I am looking at our company’s mission, vision, values and it’s not really clear what those behaviors are.

Response:
The reason it’s not clear is that most mission, vision, values placards are not user friendly. There is no clarity because the company (the CEO, executive managers, managers and supervisors) have not made it clear. If you want clear behaviors, you have to define them.

For example, if teamwork is an agreed-upon value. “Our company values teamwork in its approach to problem solving and decision making.” What are the behaviors connected with teamwork? Spell it out.

Our company values teamwork in its approach to problem solving and decision making. Given a problem to solve, each team member, using their full commitment and capability is required to give their supervisor or manager “best advice.” Given a problem to solve, each manager or supervisor is required to collect facts about the problem by listening to “best advice” from their team. Only after thorough discussion and consideration of the data, contributing factors, circumstances and alternatives, will the manager or supervisor make the decision about the course of action to solve the problem. Our company acknowledges that this may be cumbersome and slow down the problem solving process AND it acknowledges that this process will be a learning tool for each team member in problem solving. In the short term, this process may slow things down AND in the long run, this process will prepare each team member to solve more complicated problems. This is not a suggestion, this is a requirement. -Tom
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You may recognize “best advice” from Nick Forrest in How Dare You Manage?

Ernesto introduced himself to the class. “Hello, my name is Ernesto, and I have been in management for ten years. The biggest challenge with my team is making sure they do the job right. I have so much experience that I seldom make mistakes and I think that is why I was promoted. It’s important we don’t make mistakes because mistakes cost the company.”

Here’s the difficulty. How many ways does an expert have to solve a problem?

Instead of curious, the expert has the learned answer.

Instead of inquiring, the expert speaks with a solution.

Instead of exploring, the expert knows the right and only way.

Instead of being a curious child, we get good, we become learned, we become an expert. What are the predictable problems Ernesto has faced all of his managerial career?

It’s not so much to have the right answer, but to ask the right question. -Tom

Response:
Over the past several years, I have come to the conclusion – Yes.

Here are the four absolutes identified by Elliott Jaques required for success (effectiveness) in any role.

Capability (time span)

Skill (technical knowledge, practiced performance)

Interest, passion (value for the work)

Required behaviors (contracted behaviors, habits, culture)

Culture is that unwritten set of rules (based on our beliefs and assumptions) that governs the required behaviors in the work that we do together.

While culture impacts everyone in the organization, I find it is a managerial accountability related to setting context. Context is culture, culture is context.

I look for several things from a manager.

Awareness of the company’s culture.

Ability to communicate the company’s culture in stories and examples.

Model behaviors that support the company’s culture.

Observe behaviors in others and where appropriate, provide coaching, when necessary, corrective action.

Participate in the on-going definition of the company’s culture.

Here is what it looks like in a role description –Key Result Area (KRA) – Culture
As a member of the management team, the manager will understand and be conversant in the company’s mission, vision and values related to culture.

Accountability – the manager will be accountable for effectively communicating the company’s mission, vision and values. This will include the telling of stories and examples of connected behaviors that support the company’s culture. The manager will be an effective model of those behaviors that support the company’s culture. The manager will be attentive to the behavior of other managers and staff in accordance with the company’s mission, vision and values. The manager will be accountable for coaching, and, where appropriate, taking corrective action. The manager will actively participate in meetings regarding the definition and maintenance of the company’s mission, vision and values, providing constructive input to the definition of the company’s culture.

Each of you has an appointed time that most people show up for work. It is part of the contract you have with each team member. Even flex-time is a contract. A contract is an agreement by two parties related to future behavior.

Can you contract for other things besides the time we show up for work together? Can you contract for respect? More specifically, can you contract for behaviors related to respect?

“Around here, we treat each other with respect. You don’t have to be friends with your teammates. You don’t even have to like your teammates, but when you interact, you will treat each other with respect. It is a matter of contract.”

Required behavior is one of the four absolutes necessary for success in any role.

Question:
I get it. Interest and passion come from value for the work. So, just exactly how do you interview for that? Any question I come up with, sounds stupid or leads the candidate.

Are you passionate about the work we do here?

Tell me about your interest in the work we do here?

These questions just leave me open for the candidate to fabricate something they think I want to hear.

Response:
You are correct, those are lousy questions. First, they are hypothetical and without definition for “the work we do here.” The first fix is to ask about the candidate’s real prior experience, not a hypothetical comparison.

Next, it is impossible to interview for values. I can’t do it. You can’t do it. We can only interview for behaviors connected to values. What are some descriptive words connected to value for the work?

Significant

Important

Accomplishment

Pride

Embed these words into a series of questions, focused on connected behaviors.

Tell me about a time when you worked on a project of significance?

What was the project?

How long was the project?

What was your role on the project?

Describe your work on the project?

What problems did you have to solve?

What decisions did you have to make?

What made that project significant?

What characteristics about the project made it important?

In the eyes of the team, what was accomplished?

In that project, what were you most proud of?

In the interview, as you listen to the candidate’s response, do the values described match up with the values necessary for the work in the role?

Before you spring this on a real candidate interview, try this with your existing team. Valuable practice. -Tom

Question:
I believe you when you say that a key managerial component is setting context. How does culture fit in to context?

Response:
Context is culture, that is why it is so critical for managers to set context. Context is the culture in which we do our work.

Beliefs and Assumptions. Culture is the way that we see the world (Grodnitzky). Culture is the lens through which we see every element of our surroundings. Culture is what we believe to be true (whether it is or not). It is the collective consciousness in our workforce.

Connected Behaviors. Culture drives behavior (Grodnitzky). Lots of things influence behavior, but culture drives behavior. These behaviors are attached to the way that we see the world. Change the way we see the world and behavior changes. If, as a manager, you want to change behavior, you have to change the way you see the world. Change the context, behavior follows (Grodnitzky).

Tested Against Reality of Consequences. Every connected behavior is challenged by reality. Is the way we see the world aligned with the reality of consequences? No plan ever survives its train-wreck with reality. Everyone has a plan (the way they see the world) until they get punched in the face (Tyson). The reality of consequences tempers the way we see the world. As a manager, do not believe that you can get away with a bullshit culture.

Customs and Traditions. Those connected behaviors that survive the test against reality produce our customs, rituals, traditions. These routine ceremonies reinforce (for better or worse) our beliefs and assumptions about the way we see the world. Some behaviors are simply repeated often enough to become rituals. Some traditions are created to enshrine the belief. Either way, over time, make no mistake, these customs will have their day against the reality of consequences. Be careful what you enshrine.

Context is the environment in which we work. What does yours look like? -Tom
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Many thanks to my mentor Gustavo Grodnitzky Culture Trumps Everything.